To ask the Secretary of State for Work and Pensions, pursuant to the Answer of 4 November 2021 to Question 65363, on Local Housing Allowance, what estimate she has made of the saving to the public purse of the Government's decision not to increase Local Housing Allowance rates back at the 30th percentile.
16 November 2021
Since 2011, we have provided over £1 billion in Discretionary Housing Payments to local authorities for households who need extra help with their housing costs.
The decision on Local Housing Allowance rates for 2022/23 will be confirmed at the uprating review in due course. There are no plans to introduce targeted affordability funding.
The baseline for costings is that rates will be maintained at the elevated cash rates agreed for 2020/21, an investment which cost around £1 billion per year. This means maintaining rates in cash terms would not provide any savings for the Department, nor would it reduce any claimant’s benefit entitlement.